Sources inform ''Globes'' that Goldman Sachs & Co. (NYSE:GS) will invest $100 million in Israeli start-up MobilEye NV at a company value of $500 million, before money. MobilEye develops vision-based driver assistance technologies. The company value for the investment is the same at which the company previously said would be its value for an IPO in 2008.
MobilEye chairman Prof. Amnon Shashua and president and CEO Ziv Aviram founded the company in 1999. Shashua served as chairman of the School of Engineering and Computer Sciences at Hebrew University in Jerusalem. The company develops vision systems for intelligent transportation systems (ITS), which track traffic surrounding the vehicle. The system’s processor, developed in-house, processes incoming traffic data, supporting the driver in performing several routine driving tasks, such as keeping distance, and provides timely warnings of dangerous actions such as deviating from the lane, and proximate collisions.
MobilEye recently signed two large contracts with General Motors Co. (NYSE:GE) and BMW AG. Aviram has predicted that the company would sign contracts with 70% of the world’s vehicle manufacturers within a few years. The company says that it will have $10 million in sales this year and that it will become profitable in 2008.
Among its investors are Leon Recanati’s GlenRock Israel, Motorola Ventures, Lev Leviev, and Delek Motors. The company value for the Goldman Sach’s investment, $600 million after money, reflects an almost 10-fold return on investment for shareholders.
Mobileye’s R&D center is located in Jerusalem, Israel. The company has sales and marketing offices in the US, Cyprus, and Japan. The company has over 185 employees worldwide.
Published by Globes [online], Israel business news - www.globes.co.il - on October 14, 2007
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